Total exchange volume is a measure of the total value that has been traded on an exchange(s).
Total exchange volume is the total amount of cryptocurrency that has been exchanged on a given cryptocurrency exchange. Each day, it is tracked and recorded on the blockchain for almost all cryptocurrency exchanges. The number can be found on each exchange's website. Totals are updated every 24 hours.
You can think of it as the amount of money being traded on currency exchange, but for digital currencies.
Daily exchange volume is the amount of currency that has been traded (bought and sold) in the last 24 hours.
Total exchange volume is a key indicator for cryptocurrency traders because it shows how much value is being traded on an exchange. The higher the number, the more liquid the exchange is. By extension, it's easier to trade large amounts of cryptocurrency on exchanges with higher total exchange volumes.
One of the most important influencers in the cryptocurrency market is volume. Volume within a certain market can dictate where a specific cryptocurrency will trade, and how valuable it is overall. High-volume markets tend to have liquidity and lower volatility, which makes them attractive to traders. Low-volume markets may not have enough liquidity to support price movements when large orders are placed.
The main function of exchange volume is to show how well prices are holding their ground during periods of high activity. If prices are making new highs on light volume, for example, it suggests that buyers aren't yet convinced that an upward move is sustainable.
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